All Forum Posts by: Shawn Mcenteer

Hi @Shi-Feng Lin NJ is very city by city. Crime rate plays a part but really what you want to learn more about is the areas that are landlord friendly and the ones that are not. The way I see it no matter how good the numbers look they never pan out if tenants don't pay rent. I have been house hacking and small multi family investing for over a decade. I am yet to miss a single payment of rent becuase know the towns with more favorable laws tend to attract more favorable tenants. I identify these areas and find creative ways to increase value and set up creative rental situation to maximize ROI and not let wacky laws work against me.

1) You can research neighborhoods but your realtor should be fast tracking this process for you. Realtor should know the areas to avoid, one with wacky laws and low rent control. ie a place like Union City is a no fly zone in my opinion, numbers look good but laws will make for long term head ache.

2)Its funny crime rate and wacky laws tend to go hand in hand.  I've notice over the year high crime tend to be in areas with lots of crazy landlord laws.  There is more to it than just looking at crime just remarkable similarity between the two.

Are you planning to house hack?  That makes a huge difference on approach and strategy. 

Not a fan when realtors double side deals.  Simply put someone loses out.  The question in this case is are you that person, or is it the seller or possibly both of you?   Unfortunately realtors will gain more commission representing both sides but can never truly represent 1 side ethically.  The fact the property is going from $450k to $350k  is huge red flag.  Who takes $100k reduction after 60 days on $450k property and what type of realtor takes on a listing that is not listed close to fair market value.  My guess is your agent is amateur otherwise property would not have been sitting for 60 days.  If listing agent is not an amateur and by some miracle listed this property properly well then there you go with how much demand is in the area. 

Here is my 2 cents:  The only single  family deals I have closed on to have a remote shot at cash flowing in the past decade all involved creative renting from airbnb, MTR to college rental.  If this property you speak of is being looked at as a traditional LTR it is safe to say in New Jersey it will not be worth while.  

Hi @John Paul I am not fully understanding. ARV is $450k implying renovations is needed, then you say seller wants to get rid of it for $350k, which makes sense. But then you go on to say property is listed for $450k and has been sitting for 64 days. You refer to seller but then go on to say you want to keep it. I am having difficult time following what is happening here. Are you buying or selling?

Happy to help @John Schiano I am currently under contract on 4 house hacks all for first time house hackers in North Jersey.  House hacking is house I got to Fi.  Now my goal is to help new investors fast track their house hacking goals so they don't have to pay the stupid tax my wife and I had to pay learning the hard way.  Happy to connect.

Hi @Richard Phillip Lewis not sure if what I do can even be of help in your situation, I specialize with selling multi Family properties.  Especially ones with tenants in them since it is much different process compared to selling traditional real estate, it is extremely specialized.  My question is why are you even thinking  about selling?  Most of the time in situations like what you are describing there are creative ways to get out of your house hack and purchase a new property with very little money down. Are you sure selling makes most sense for you having what sounds like such a powerful asset?

 I love the story Sunny,  My wife and I are 4 kids 2 dogs financially free since 35 via house hacking in North Jersey.   What really jumped out at me in your story is the similarity.  Especially when you mentioned Airbnb your primary residence for vacationing.  Our goal is to fully have a system in place for this June 2025 to be able to have tenants locked in while we travel.   

Hi @Matthew Posteraro ADU is tough right now in NJ with regards to multi family properties. The towns that are allowing it tend to be geared towards single family properties. If you can afford to build new multifamily is there a reason why you are focusing on Easton/Phillipsburg? Markets farther East are more expensive but much more opportunity for creative rental that are in high demand attracting high paying tenants.

Hi @George Martin very simple if you want her out.  Give 60 days notice.  If she is not out file eviction.  When you go to court let them know you are owner occupying property with intention of moving into her unit. Courts will side with.  Its a huge hack NJ House Hackers get.  In the time you serve her notice she is still required to pay you rent each month.  Owner occupied laws in NJ are extremely favorable. 

Hi @Shaina Sarna LTR in NJ can be very lucrative way to go.  My wife and I got to financial independence through leverage house hacking in order to acquire our properties and even businesses.  It sounds like you are on the right track with what I am about to recommend already so keep it up.  Hands down the fast way to get to your goals is to find someone doing what you want to do and repeat what works.  When my wife and I first started out we new we wanted to invest but did not know how, he teamed up with local "abc" style realtor.  Ended up finding a single family, purchased it, then found biggerpockets.  Long story short when we aligned with investor friendly people we found out in most case single family is very tough in new jersey unless implementing a very specific niche style, market specific strategy.  We ending up selling the single family and accelerate fast house hacking multi family properties.  Best part is we went on this journey with 4kids and 2 dogs moving property to property through north jersey. 

Align with the right people and hop on the fast track so you can avoid the stupid tax my wife and I had to pay. 

All the best

Hi @Omar Anis sounds like you may be stuck with the property or forced to 1031 if you don't sell soon. Condos get tricky in NJ, fees can sky rocket over night which doesn't just hurt your cash flow it has potential to kill your property values. I'd take cash to you next location and apply liquid to possibly a live in fix and flip to gain even mor equity or house hack. One way or another I have been house hacking in NJ for over a decade and love the returns I produce for myself and clients, I have been licensed realtor this entire time closing dozens of investor deals each year. I am yet to close a deal on a condo that has long term numbers that make sense, a lot in part has to do with wacky HOA guidelines. Majority of my Condo clients will sell to move up, very few hold. Wishing you all the best Omar.